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Geopolitical instability in the Middle East maintains silver prices above $66 as Iran conflict intensifies

Executive summary: Silver prices have remained stable above $66 per ounce during the ongoing military escalations involving Iran. The conflict acts as a primary driver for safe-haven asset demand, impacting precious metals and energy markets simultaneously.

Who is involved: Iran, regional military actors, and global commodity traders.

Likely next: Continued volatility in silver and gold prices depending on the intensity of military strikes and potential impacts on the Strait of Hormuz.

Silver prices are demonstrating resilience, holding above the $66 threshold amid escalating tensions between Iran and regional actors. The ongoing conflict is driving safe-haven demand for precious metals as market participants hedge against potential energy supply disruptions and broader geopolitical shocks. This price floor reflects the high level of uncertainty surrounding the military situation in the Middle East.

What's next — scenarios

Base Case: Geopolitical stalemate (50%)

Silver maintains a range between $65-$70 as safe-haven demand persists without a definitive military breakthrough.

Upside: Escalation in Hormuz (30%)

Silver prices surge toward $75+ driven by extreme risk aversion and energy supply fears.

Downside: De-escalation/Diplomatic breakthrough (20%)

Silver prices drop toward $60 as investors exit safe-haven positions.

What to watch

Timeline

Analysis — what this means

Likely next events

Sectors affected

Regulatory implications

Historical parallels

Key entities

Sources

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